Rice says Palestinians want peace despite Hamas victory

But Rice, speaking from Washington in a video linkup with the World Economic Forum here, gave no indication whether the US administration would deal with Hamas, which it brands a terrorist organization.

"The Palestinian people have apparently voted for change but we believe that their aspirations for peace and a peaceful life remain unchanged," the chief US diplomat said in a statement read to the gathering.

But she said Washington's view of Hamas, which refuses to recognize the right of Israel to exist and has claimed responsibility for most of the anti-Israeli attacks in recent years, had not altered.

Palestinian hopes for peace "can only be met through a two-state solution which requires a renunciation of violence and turning away from terrorism and accepting the right of Israel to exist and the disarmament of militias.

"As we have said, you cannot have one foot in politics and the other in terror," Rice said. "Our position on Hamas is therefore not changed."

Rice spoke after release of shock poll results that gave Hamas an upset win in Wednesday's parliamentary elections over the Fatah movement led by Palestinian president Mahmud Abbas.

She said the elections were "peaceful and free of violence and by all accounts fair" and "we ask all parties to respect this process so that it can unfold in an atmosphere of calm and security."

Rice said she had spoken by phone with Abbas and had also conferred with UN Secretary General Kofi Annan and Israeli Foreign Minister Tzipi Livni, whose government has said it will not deal with Hamas.

The United States consistently condemned Hamas but supported Abbas' decision to let the group run in the parliamentary elections and turned back threats by Israel to disrupt the ballot.

Rice said the Palestinians and the Middle East were in the midst of a "historic transition" and blamed Fatah's loss on the years of corruption that existed under the rule of the late Yasser Arafat.

She said that with the large turnout Wednesday "we still have every reason for hope and optimism" but signaled that Hamas would have to change its ways to become a partner in the peace process.

"It is now up to not just the Palestinian people but us in the international community to secure that democracy brings not just rights but it brings obligations and responsibilties, too," she said.

"Democracy and wanton violence, democracy and terrorism are incompatible just as it is incompatible to ultimately have armed people within a legislature," Rice said.

She also reiterated the US insistence that any new Palestinian government adhere to the US-backed peace "road map" aimed at creation of an independent Palestinian state.

"Anyone who wants to govern the Palestinian people and do so with the supoport of the international community has got to be committed to a two-state solution, must be committed to the right of Israel to exist."

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